While Hillary and Obama are debating how to save health care and we all rail against the drugstore clinics, a quiet revolution in primary care delivery is happening right under our noses.
I’m talking about employer-based health clinics. In-house clinics operated on site at the job, usually staffed by mid-level practitioners and maybe a doc, sometimes including a pharmacy.
What got me thinking about workplace clinics?
Well, a few days back, a young patient who I had not seen in 3 years arrived for an appointment, abnormal pap smear in hand, requesting a coloposcopy. She had been referred back to me by the nurse practitioner at her job, where she had been getting free pap smears since I had last seen her.
That same day, I hear that Walgreens has bought both I-Trax, Inc (CHC-Meridian) and Whole Health Management, two of the county’s largest operators of workplace health clinics.
“These announcements mark an important strategic initiative for us,” said Walgreens Chairman and CEO Jeffrey A. Rein. “Walgreens Health and Wellness division will marry our store clinics and pharmacies with worksite health centers and pharmacies. Our unique offering will allow large employers and health plans to provide care to employees and plan members at their worksites, and to dependents and retirees through our Take Care Health Clinics at local Walgreens drugstores.”
Are you thinking what I’m thinking?
Two Ways to Look at it
Now, there are two ways to looks at the situation. The first is to believe all the press releases and see this as a win – win for both patients and employers. Employees get inexpensive, on-site, convenient health care. There is opportunity for development of long term relationships with patients, which enhances interventions to treat chronic diseases, especially those that have a lifestyle component. Combine this with on-site fitness centers such as those offered by I-Trax and Whole Health, and you have a model for the development and maintenance of a healthy workforce.
Of course, the cynical way to look at it is to say that Walgreen’s acquisition of employer-based clinics is just another way for them to capture the prescription drug market. In this regard, it will be very interesting to see if Walgreen’s keeps I-Trax and Whole Health’s employer-based fitness center products as part of their business model. I suspect that they may not. A recent survey of employer based clinics found that while older clinics were more likely to include physical therapy and mental health benefits, newer ones were more like to to offer pharmacy benefits.
Workplace-based clinics have the potential to destroy ongoing doctor-patients relationships that employees may have outside the workplace (as happened to my patient and myself). Not to mention that they are gleaning the healthier patients, leaving the community-based docs to deal with the sickest patients while losing the revenue generated from primary and acute care.
One might also argue that this is more of what NHS Blog doctor calls the “dumbing-down of health care” – the shift away from highly trained and experience doctors towards lower level, cheaper providers. Because the truth is that most workplace clinics are staffed by mid-level practitioners “supervised” by an MD, who may or may not be on site. Thus, in return for convenience, employees will receive the bulk of their primary care from someone other than a doctor. Of course, that’s the way it is anyway in most managed-care primary practices these days (except of course, Dinosaur Doc’s ), so maybe this will be nothing new.
How big is the movement to employer-based clinics?
According to a recent article in the Milwaukee Sentinal, 23% of 600 large companies surveyed reported that they were providing health care on site for their employees. These include companies like Sprint/Nextel, Qualcomm and Pepsi, just to name a few.
Walgreen’s is not the only company getting in on Employer-Based Clinics. Some medical centers offer on-site care to large employers, guaranteeing their continued place in the provision of primary care and a nice referral base for their hospital and specialists. Individual physician practices may also contract with local employers to provide on site care.
What happens next?
Something tells me that pharmacy run employer-based health care is fraught with conflict of interest that may not necessarily be aligned with those of the employers or employees. But I think the business model is making sense for employers, at least from what I’ve gleaned in my readings on the topic. And if I were a medical center, or a primary care practice in an area with a big employer, I’d be thinking about scrambling to get those employer contracts for myself before Walgreen’s snatches them all up.
As for my patient, I was more than happy to do her colposcopy, and she decided she would stay with me rather than go back to her employer for follow up.
Still, I called her workplace nurse practitioner, gave her the biopsy results and sent her some of my cards. I figured at least I might be able to get a few more referrals before she puts me out of business.
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Other Blog reactions to Walgreen’s announcement
Healthbeat Blog – “Health care is a public good, and as such, should be delivered by non-profit organizations overseen by government organization that reviews quality and is accountable only to the public.”(via Kevin, MD)
Brian Kleppert – if the physician community remains scattered and dis-united, it could spell the end of medicine as a cottage industry, and the next big phase of true corporate medicine in America.”
Listen to an NPR story on Employer based clinics